According to startup data intelligence platform TheKredible, Walmart-controlled Flipkart turned up at the top of the list spending a total of Rs 3735.7 crore on employee benefits in FY22. Despite contributing to over 24% of the company’s expenses, employee benefits only ranked second to the transportation and distribution costs spent by e-commerce companies in the same financial year. It saw a total of Rs 15,023 crore as its expenses for FY22, an increase as compared to the Rs 11,004 crore it experienced in its previous fiscal year.
Vijay Shekhar Sharma led Paytm followed the suit, incurring a cost of Rs 2431.9 crore, an increase as compared to the Rs 1,184 crore it spent in FY21. Mimicking Flipkart’s expense breakdown, the payment gateway company too saw an approximate of 31% of its total expenses of Rs 7601 crore contributing to employee incentives and benefits.
Mumbai-based edtech Eruditus and Gurugramn-based hospitality company OYO witnessed a total cost of Rs 1992.4 crore and Rs 1861.8 crore respectively being spent on its employees. While the edtech saw 44% of its expenses being contributed by employee benefits, OYO saw the sector costing close to 26% of its total expenses in FY22. Each of the unicorns saw a total expense of Rs 4504 crore and Rs 6799 crore the same year.
Companies like Zoho, Unacademy, and PhonePe also made an appearance among the top cost incurring unicorns in the employee benefits segment. Each of the companies recorded spending Rs 1826 crore, Rs 1771 crore, and Rs 1741 crore, respectively, of its total expenses on employee benefits.